Question: 1. In an ongoing business, why is a graph not necessarily the best technique to use in CVP analysis? 2. What is the equation for

1. In an ongoing business, why is a graph not necessarily the best technique to use in CVP analysis?

2. What is the equation for calculating a particular revenue level in dollars using CVP analysis?

3. Define the term contribution margin.

4. If management wants to know the sales level it would have to achieve to make a specific profit, how can the required sales level be calculated?

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